It’s so well-behaved right now
Traders,
Coach Tyler here. Another weekend has come and gone, and Bitcoin scored a major breakout. This is the third weekend in a row that the crypto king zipped through significant resistance for those who haven’t been paying attention. The consistency is becoming uncanny, and it’s the primary reason why bitcoin demanded I say something this morning.
One of my favorite reasons for trading bitcoin has to be just how well it toes the technical analysis line. What I mean is it behaves exceptionally well around key price levels. I think the reason why is obvious – there isn’t anything else to go off of: no earnings, no future cash flows, no nothing. Thus, analyzing supply and demand is the only game in town.
And that’s what technical analysis is all about!
The last two times Bitcoin ran into overhead resistance ($41k and $47k), I explained what I thought would happen during my Wednesday appearances in the Halftime Report. I even drew out the time correction that would transpire.
And, guess what?! It did exactly as I mapped out – both times. I bring this up, not to beat my chest. I’ll be the first to admit it was pure luck. But it illustrates an important point. I laid out what price should do if it continued to play well with technical analysis. Strong trending stocks usually do pause for a week or so after hitting resistance. Then they break out.
Bitcoin did what any well-behaved asset does. It skirted sideways while soaking up supply – then it jammed higher. Chartists have to be loving bitcoin right now. At some point, uncertainty and unwanted volatility will return. Until then, enjoy the newfound uptrend.
#TeamTackle
Chart of the Day
Bitcoin’s Beautiful Uptrend
| If you squint, you can see the light red lines I drew when bitcoin prices first tested $41k and $47k. The next ceiling isn’t until $58k, so consider that the logical target over the coming weeks. |
|---|
Video of the day
Coach Frank’s Charts
Coach Frank always brings us some beautiful charts to look at. Check out the segment starting at around 39.00.
Today’s line up
Traders Lounge 11 AM EST
Join the coaches in this live lounge, ask questions, discuss ideas or just sit back and listen to veteran traders discuss market conditions.
Halftime Report 12:30 PM EST
The Halftime Report starts at 12:30 EST and covers what news is driving the market, chart analysis from the movers and shakers of the day and fun in a way that only Matt and Tim can deliver.
Weekend Reports
Watch the Stock, Options, Commodity and Forex Reports to help you prepare for the week.
Financial freedom is a journey
The Tackle Today series is brought to you by Tackle Trading.
Sign up now and gain unfettered access to all of the quality content and powerful Scouting Reports that our Pro Members enjoy for 15-days absolutely free with no strings attached and let us show you what your trading has been missing.
# Sign up now for a 15-DAY FREE TRIAL #
Legal Disclaimer
Tackle Trading LLC (“Tackle Trading”) is providing this website and any related materials, including newsletters, blog posts, videos, social media postings and any other communications (collectively, the “Materials”) on an “as-is” basis. This means that although Tackle Trading strives to make the information accurate, thorough and current, neither Tackle Trading nor the author(s) of the Materials or the moderators guarantee or warrant the Materials or accept liability for any damage, loss or expense arising from the use of the Materials, whether based in tort, contract, or otherwise. Tackle Trading is providing the Materials for educational purposes only. We are not providing legal, accounting, or financial advisory services, and this is not a solicitation or recommendation to buy or sell any stocks, options, or other financial instruments or investments. Examples that address specific assets, stocks, options or other financial instrument transactions are for illustrative purposes only and are not intended to represent specific trades or transactions that we have conducted. In fact, for the purpose of illustration, we may use examples that are different from or contrary to transactions we have conducted or positions we hold. Furthermore, this website and any information or training herein are not intended as a solicitation for any future relationship, business or otherwise, between the users and the moderators. No express or implied warranties are being made with respect to these services and products. By using the Materials, each user agrees to indemnify and hold Tackle Trading harmless from all losses, expenses, and costs, including reasonable attorneys’ fees, arising out of or resulting from user’s use of the Materials. In no event shall Tackle Trading or the author(s) or moderators be liable for any direct, special, consequential or incidental damages arising out of or related to the Materials. If this limitation on damages is not enforceable in some states, the total amount of Tackle Trading’s liability to the user or others shall not exceed the amount paid by the user for such Materials.
All investing and trading in the securities market involve a high degree of risk. Any decisions to place trades in the financial markets, including trading in stocks, options or other financial instruments, is a personal decision that should only be made after conducting thorough independent research, including a personal risk and financial assessment, and prior consultation with the user’s investment, legal, tax, and accounting advisors, to determine whether such trading or investment is appropriate for that user.
